Big Tech plans $325 billion investment

Tech giants Meta, Microsoft, Amazon and Alphabet plan to invest a record $325 billion in 2025 to develop their AI infrastructure. This represents a 46% increase from an estimated $223 billion in 2024.

Despite the expected long-term benefits, these massive investments raise questions among investors who are unsure whether spending on AI will actually pay off.

Growing uncertainty and competition

One of the main causes of investor mistrust is uncertainty about when and how AI investments will deliver the expected returns. Recent events surrounding Chinese startup DeepSeek, which introduced open-source AI models competitive with those of OpenAI at a fraction of the price, have caused considerable nervousness in the market. Shares of tech companies plummeted as investors began to question the need for huge investments in AI infrastructure.

Still, tech companies are standing by their plans and are not going to slack off on spending. Amazon $AMZNremains the largest investor in this segment , with…